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在地理上处于南方的发展中国家往往把重点放在农业、初级产品和原料上，以及扩展到生产一些制成品。近几十年来，初级产品到制成品的相对价格有了一定的下降,一定程度上归因于欠发达国家的人口增长的逐底竞争，这意味着劳动力增加了，并且压低了生产劳动密集型产品市场的工资。也可以这样说，这些国家的生产率增长了。在回答为什么一些国家利用出口推动增长的速度比别人快这个问题上，贸易的地位是很重要的。歌手普雷维什(1950)提出的一个理论讨论了欠发达国家的纯易货贸易,关注了他们在初级产品领域的比较优势。

普雷维什 (1972年)不再单以经济的角度或作为一个同质系统来看世界，而是作为两个不同的区域：经济力量的中心——欧洲和美国，以及外围实力较弱的国家——拉丁美洲,非洲和亚洲。

Differences in Globalisation effects of southern countries

Developing countries which geographically are in the South tend to focus on the production of agricultural, primary goods and raw materials, with some expanding into producing some manufactured goods. Over recent decades there has been a decline in the relative price of primary goods to manufactured goods, partly due to race to the bottom in population increase in less developed countries which implies and increased labour force and drives down the wage for a market that produces labour intensive goods. Also it could be argued that there has been a productivity growth in these countries. The terms of trade are important in solving why some countries are about to take advantage of export fuelled growth at a faster rate than others. A theory proposed by Singer and Prebisch (1950) discussed the net barter terms of trade for less developed countries that focused on their comparative advantage in the primary goods sector.

Prebisch (1972) saw the world not in mono-economic terms, or as one homogenous system, but as two distinct areas, a centre of economic power in Europe and the United States, and a periphery of weaker countries in Latin America, Africa, and Asia. Conventional economic theory (comparative advantage) argued that the exchange of central industrial goods for peripheral primary goods was to the peripheral country’s advantage. This was because technical progress in the centre would lead to lower prices for industrial exports and that ultimately a unit of primary exports would buy more units of industrial imports—hence, over the long term, progress would accrue to the periphery without it having to industrialize. Disagreeing with this conventional argument, Prebisch (1972) argued instead that Latin America’s peripheral position and primary exports were exactly the causes of its lack of progress, specifically because of a long-term decline in the periphery’s terms of trade (the ratio between the value of exports and the value of imports). Using Britain as a case study (because it had a long statistical record), Prebisch (1972) showed that the terms of trade for centre countries had improved with industrialization; from this, he deduced that those of the periphery must have deteriorated.

Technical advances benefited the centre countries rather than the entire world. This was not a temporary phenomenon, but a structural characteristic of the global system. Conventional economic theory failed to work, he said, because, firstly, markets in the centre were characterized by imperfect competition and price reductions (stemming from technical advances) could be avoided, while competition among primary producers reduced the prices for their goods and, secondly, the income elasticity of demand (that is, the degree to which demand changes with a given change in income) is higher for industrial goods (like electronics) than for primary goods (like food), so that the periphery’s terms of trade tended to declin